What is Mileage Allowance 

The Mileage Allowance Payments (MAP) is a tax-free benefit for individuals who use their vehicles for work. You can use it if you drive a car, van, or bike for work. Whether self-employed or a full-time employee, you can claim back for your time on the road for business purposes. 

How do you know if you’re eligible to claim the Mileage Allowance? 

Everyone using a personal vehicle for wholly and exclusively business purposes can usually claim the mileage allowance.  

The HMRC mileage allowance rate for the 2024/2025 year 

The rates are:  

Vehicles	First 10,000 miles	45p per mile
Vehicles	Over 10,000 miles	25p per mile
Motorcycles		24p per mile
Cycles		20p per

Rates are correct when writing, and you can check the latest mileage and fuel rates approved by HMRC on the gov.uk website. 

How do I claim Mileage Allowance Relief? 

HMRC allows you to claim tax relief at the end of the tax year. Here’s what you need to do to qualify: 

• Maintain detailed records of your commercial mileage. 

• Calculate the sum of all your business mileage for the year. 

• Calculate the sum of the Mileage Allowance Payments you have claimed throughout the year. 

• Subtract the claimed MAP from the approved payment you should have received. 

Self-employed mileage allowance 

You can claim mileage as a self-employed person using one of two methods: actual vehicle costs or simplified vehicle expenses. 

When you claim mileage using the actual vehicle costs approach, you can deduct every penny you spend on business mileage during the year.  

This strategy may be helpful for you if your vehicle expenses are high due to, e.g. high insurance or road tax. Keep in mind that preparing for your annual tax returns can be time-consuming. The simplified expenses approach helps avoid extensive calculations and invoice collection. 

You can claim mileage expenses as self-employed using any method you choose on your self-assessment tax return.